New Jersey Law Establishes Protections From Financial Exploitation for Vulnerable Adults

New Jersey Gov. Phil Murphy this week approved a law to prevent financial exploitation of the state's senior population by implementing new protections, reports TAPinto.net . The law mandates that when a qualified individual believes the financial exploitation of an eligible adult — defined as someone 65 or older or who is otherwise subject to the Adult Protective Services Act — has happened or been attempted, they must alert the Bureau of Securities in the Division of Consumer Affairs in the Department of Law and Public Safety and the appropriate county adult protective services provider. A qualified individual is designated as any agent, investment adviser representative, or other person who serves in a supervisory, compliance, or legal capacity for a broker-dealer or investment adviser. This individual also must inform any third party previously deemed by the eligible adult, unless that party is suspected of exploitation. The qualified individual who reports in good faith would be exempted from administrative, civil, or criminal liability. Under the law, a broker-dealer or investment adviser may postpone a disbursement from an eligible adult's account if it could lead to financial exploitation. Moreover, broker-dealers or investment advisers must allow access to or copies of records that are relevant to the suspected or attempted exploitation of an eligible adult to agencies tasked with overseeing state adult protective services laws and to law enforcement.